RESUME APPLICATION PAY PREMIUM
Fund Performance

Fund Performance

Knowledge Center

Knowledge Center

About Us

About Us

Tools and Calculators

Tools & Calculators

Quick links

Mobile (Download app)
  • Webpages
  • Documents
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment

For NRI Customers

(To Buy a Policy)

(If you're our existing customer)

For Online Policy Purchase

(New and Ongoing Applications)

Branch Locator

For Existing Customers

(Issued Policy)

Fund Performance Check

RESUME APPLICATION PAY PREMIUM

What do you want to do?

Quick links

Mobile (Download app)

Download HDFC Life App

Buy plans, track your policy, make renewal payments & monitor fund performance with HDFC Life App, Download Now!

Apple Logo Go to Google Play Store

40-Year Retirement Pension Plan

A 40-year retirement plan helps you build wealth over four decades. Policies like HDFC Life Personal Pension Plus offer steady growth over several years to build a corpus that provides financial security once you retire. Let’s learn more about 40-year plans and how they work.

1 Crore Retirement PlanRetirement planning in 50sGet 30K monthly pensions10 Year Retirement Plan

CALCULATE PREMIUM TALK TO OUR ADVISOR
Pension Schemes and Retirement Plans

GET A FREE QUOTE

We respect our customers' privacy and do not spam them.

I authorize HDFC Life and its representatives to contact me through Call, Email, SMS or WhatsApp. This consent overrides my registration under DNC / NDNC (this would mean we would contact you even if you are registered on any Do Not Disturb list).
40-Year Retirement Plan

Secure Your Future with a 40-Year Retirement Plan

Forty Year Retirement Plan
August 24, 2023

Table of Contents

 

Young people today understand the importance of planning for the future in advance. Those in their early 20s want to start saving and investing to ensure financial independence in their golden years. A 40-year retirement plan can help young professionals achieve their future goals while providing life insurance coverage. Let’s learn more about 40-year plans and how they work.

What is a 40-Year Retirement Plan?

A 40-year retirement plan helps you build wealth over four decades. Policies like HDFC Life Personal Pension Plus offer steady growth over several years to build a corpus that provides financial security once you retire. The premiums for these plans generate returns at a specified interest rate. On maturity, or when you reach the chosen vesting age, you receive regular payments from the corpus. They help you meet your financial obligations once you retire. The plan provides life insurance coverage, securing your family’s financial future in your absence.

How Does a 40-Year Retirement Plan Work?

Let’s better understand how the plan works with an example. Ajay is a 25-year-old professional. He has been working for the last seven years and wants to start investing for retirement. Ajay selects an HDFC Life Personal Pension Plus plan to safeguard his future. He pays an annual premium for the next forty years. Every year, the accumulated amount earns returns at a pre-defined interest rate. Ajay will receive monthly payments from the accumulated corpus when he reaches the chosen vesting age of 65. During the 40-year tenure, Ajay also has life insurance coverage. If anything happens to him, his beneficiary or heir will receive a payout of the sum assured to maintain financial stability at a difficult time.

Why Choose a 40-Year Retirement Plan?

A 40-year plan provides the following benefits:

Helps Build Financial Discipline
Young professionals who select 40-year plans inculcate good financial habits. They become disciplined in their approach to saving and investing.

Provides Guaranteed Returns
The 40-year HDFC Life Personal Pension Plus plan provides guaranteed returns for a secure financial future.

Secures the Family’s Finances
Your retirement plan comes with life insurance coverage. It provides your loved ones with a payout after something happens to you. The amount offers your family a financial safety net during difficult times.

Tax Benefits
The HDFC Life Personal Pension Plus plan provides tax benefits* depending on prevailing tax laws.

Things to Consider Before Selecting a 40-Year Retirement Plan

Carefully evaluate the following factors before selecting a 40-year retirement plan:

  • Your Future Goals
    Think about what you hope to achieve in the future. You may want to get married, grow your family, look after elderly parents, and buy a home. Each of these goals requires prudent planning. List your goals and put a timeline against each. Once you know what you are working towards, you can identify plans that align with your needs.
  • Your Financial Situation
    Take stock of your current financial situation. Evaluate your income, assets and liabilities. Think about how much you can afford to invest in pension plan. Consider how much you still need for a secure retirement. Look for policies that fit your wallet while offering steady growth.
  • Your Risk Appetite
    Can you afford to take risks while planning for the future? Consider the level of risk you are comfortable with. Identify plans that fall within your comfort zone but provide adequate financial security for the future.
  • The Rate of Inflation
    Inflation impacts the value of your money in the future. Always look for plans that offer higher returns than expected inflation rates. It will enable you to maintain your standard of living once you retire.
  • Insurance Coverage
    Retirement policies provide insurance coverage to secure your family’s finances. Calculate your Human Life Value (HLV) to understand the insurance required. Look for plans that provide sufficient financial coverage.

Identifying the ideal retirement plan for your needs takes careful planning. Start by identifying your goals and timeline. Look for plans that align with your goals to enjoy a secure and carefree retirement.

Related Article

Talk to an Advisor right away

Not sure which insurance to buy?

Talk to an
Advisor right away

Talk to an Advisor right away

We help you to choose best insurance plan based on your needs

Francis Rodrigues Francis Rodrigues

Francis Rodrigues has a decade long experience in the insurance sector, and as SVP, E-Commerce and Digital Marketing, HDFC Life, manages the online sales channel, as well as digital and performance marketing. He has had hands-on experience in setting up sales channels and functional teams from scratch over a career spanning 2 decades.

LinkedIn profile
Author Profile Written By:
Vishal Subharwal Vishal Subharwal

Vishal Subharwal heads the Strategy, Marketing, E-Commerce, Digital Business & Sustainability initiatives at HDFC Life. He is responsible for crafting and ensuring successful implementation of the overall organisation strategy.

LinkedIn profile
Reviewed By Reviewed By:

Here's all you should know about Retirement Plans.

We help you to make informed insurance decisions for a lifetime.

Pension Annuity vs Lump Sum

Pension Annuity vs Lump Sum

Understand pros and cons of pension annuity vs. lump sum. Explore benefits, drawbacks, and make an informed retirement choice based on your financial goals.

Importance of Retirement Planning for Women

What is Deferred Annuity and Immediate Annuity?

Early Retirement Planning

Essential early retirement tips. Learn how to invest smartly, manage your portfolio, and secure your financial future for a comfortable, worry-free retirement.

Early Retirement Planning
HDFC life
HDFC life

HDFC Life

Reviewed by Life Insurance Experts

HDFC LIFE IS A TRUSTED LIFE INSURANCE PARTNER

We at HDFC Life are committed to offer innovative products and services that enable individuals live a ‘Life of Pride’. For over two decades we have been providing life insurance plans - protection, pension, savings, investment, annuity and health.

Life Insurance Popular Search

Popular Searches

Disclaimer

* As per Income Tax Act, 1961. Tax benefits are subject to changes in tax laws.

HDFC Life Personal Pension Plus (UIN: 101N091V041) is a non-linked participating pension plan. Life Insurance Coverage is available in this product.

ARN - ED/07/23/2996

down-arrow